US stocks shed early gains as traders weigh inflation report

By STAN CHOE, DAMIAN J. TROISE and ALEX VEIGA
AP Business Writers

NEW YORK (AP) — Stock indexes edged lower on Wall Street in afternoon trading Tuesday, shedding early gains as investors weigh new data on inflation. The S&P 500 was 0.6% lower. The pullback follows back-to-back losses driven by worries about the economic collateral damage as the Federal Reserve tackles high inflation more aggressively. A report showed inflation is still at its highest level in 40 years. Still, a faint silver lining was that inflation unexpectedly slowed in March on a month-over-month basis, after ignoring the costs of food and fuel. The Fed pays close attention to that number, and Treasury yields fell immediately after the report.